The release of the HSBC flash purchasing managers’ index for November, which came in far below expectations, came as the property sector was slowing down and amid the suspension of about 70 per cent of rail projects, a blow to large manufacturers.

Investors remain concerned after a warning this week from Wang Qishan, China’s Vice-Premier, that the global recession was not a short-term phenomenon and that China would be scarred by a prolonged fall in demand for its exports.

It was Mr Wang’s tone that proved particularly unnerving. The key for…